Yahoo!'s to lay off 1,500 employees tomorrow...

Yahoo!, once king of the Web, would be cutting its workforce too. Insiders say the struggling Sunnyvale, Calif., Internet portal will layoff 1,500 employees Wednesday (tomorrow) in an effort to become a leaner, more aggressive company that can compete with Google (nasdaq: GOOG - news - people ). Word is Yahoo!'s sales force will be chopped by roughly 30%. Even Yahoo!'s vaunted engineers will face cuts, with more than 5% losing their jobs. Many won't be sorry to go. Former employees describe a management team committed to creating a "fun" environment but unwilling to make the tough decisions needed to help the company move forward. The result: Once-thriving businesses are starved of resources while obviously failed efforts live on. One Yahoo! employee who left in the spring described how colleagues still there are lobbying to get on the layoff list even if they don't have new jobs lined up.

All newly unemployed Yahoo's, however, will find plenty of support. "I'd like to tell them that this layoff probably has more to do with management mistakes," says Hongche Liu, chief information architect at people-search engine Spock and a Yahoo! veteran.